topic Re: Getting into the AMEX family in Credit Cards

Getting into the AMEX family

Anonymous — Sun, 13 Mar 2011 03:15:13 GMT

Do any of you have a savings account with AMEX?

I am curious if this would somehow down the road help me in getting an AMEX credit card.

I haven't tried to apply for one because I assume I wouldn't be able to get one.

Additionally, I don't really need more credit right now.

About me now:

October 2010 Equifax 723

Feb 2011 Transunion 724 both pulled thru myFICO.com

24,500/year income

1. US Bank Platinum Visa opened early 2009, 4k limit

2. Kohl's store card, 1.5 years old $600 limit

3. Chase Slate, November 2010 $3k limit

4. Discover More, March 2011, $2.5k limit

Also have 2.5k backup credit on a checking account with US Bank.

I have a short history with my oldest account being student loans 4 years old now.

I always pay my credit cards in full before period ends (have yet to pay a penny!). I think I piggybacked off my parents when I got my first card at age 20 because they co-signed a student loan.

Anyways, I feel I don't have a chance with AMEX right now. I'm not interested in a card with an AF. I do want to take the hits on my FICO score now for adding credit cards rather than 5+ years down the road when I try to get a mortgage - then my AAoA for my credit cards will be "older."

So, back to my question - does getting a savings with AMEX do anything to help me? Should I just go for it and try to get a card in the next few months? What should I go for? Should I hold off? I basically have 12k in credit on a 24k income, so I'm probably going a bit excessive here.

Re: Getting into the AMEX family

andyaycw — Sun, 13 Mar 2011 03:40:49 GMT

Here are my thoughts:

It's a good idea to get credit when you don't need it, so you shouldn't use that as the only reason to not try for Amex. Are there any specific cards from them that you see as a big benefit? If they have a CC product that would be beneficial to you, then you should go for it regardless of whether you need or don't need any more credit. Furthermore, many people here have credit limits more than their income level, so don't let that deter you from applying either. My credit limits, for instance, are 2x my annual income. Just put your income at what you can prove, and Amex will give you a credit limit they feel comfortable with.

On the basis of just your credit scores, I'd say you have a good shot of approval. You may have a short history, but you've got a few cards with major issuers and you've really only got one account that was opened "recently" (Chase Slate from November 2010). Assuming you don't have any derogatories on your credit report and you don't have many inquiries in the last 6 months, I see no reason not to app for Amex.

I can't speak to whether getting a savings account with Amex would help, so perhaps someone else can comment on that.

Re: Getting into the AMEX family

danisgods — Sun, 13 Mar 2011 05:38:03 GMT

AMEX sucks, no one takes it....

Re: Getting into the AMEX family

joestay — Sun, 13 Mar 2011 06:26:24 GMT

@danisgods wrote:
AMEX sucks, no one takes it....

I've never been denied before. Every place I go takes AMEX.

Re: Getting into the AMEX family

CHARGE_IT — Sun, 13 Mar 2011 06:36:14 GMT

Wow, your comments are taking on a harsher tone. They must have burned you, or else you never leave home with or without it, 'cause they are about as everywhere as they can get. Don't take credit issues too personally. It isn't personal

@danisgods wrote:
AMEX sucks, no one takes it....

Re: Getting into the AMEX family

jefftca925 — Sun, 13 Mar 2011 07:26:45 GMT

@Anonymous wrote:
Do any of you have a savings account with AMEX?

I am curious if this would somehow down the road help me in getting an AMEX credit card.
I haven't tried to apply for one because I assume I wouldn't be able to get one.
Additionally, I don't really need more credit right now.

About me now:
October 2010 Equifax 723
Feb 2011 Transunion 724 both pulled thru myFICO.com

24,500/year income
1. US Bank Platinum Visa opened early 2009, 4k limit
2. Kohl's store card, 1.5 years old $600 limit
3. Chase Slate, November 2010 $3k limit
4. Discover More, March 2011, $2.5k limit
Also have 2.5k backup credit on a checking account with US Bank.

I have a short history with my oldest account being student loans 4 years old now.
I always pay my credit cards in full before period ends (have yet to pay a penny!). I think I piggybacked off my parents when I got my first card at age 20 because they co-signed a student loan.

Anyways, I feel I don't have a chance with AMEX right now. I'm not interested in a card with an AF. I do want to take the hits on my FICO score now for adding credit cards rather than 5+ years down the road when I try to get a mortgage - then my AAoA for my credit cards will be "older."

So, back to my question - does getting a savings with AMEX do anything to help me? Should I just go for it and try to get a card in the next few months? What should I go for? Should I hold off? I basically have 12k in credit on a 24k income, so I'm probably going a bit excessive here.

Based on what you've told us so far I think you'd have a shot at an AMEX charge card (green, zinc, gold). If you find the right link you can get the card with the first year AF being waived and that would get you established with them. Then in a few months or so you can try for a credit card (Amex Blue, Delta, etc.) and see where that goes. Your scores look good enough and you've got some decent history. As long as you do not have any recent baddies I'd say "GO FOR IT!"

Re: Getting into the AMEX family

JayRizzo — Sun, 13 Mar 2011 13:39:54 GMT

Hmmmm, andyaycw, unless your first sentence was a typo -- we would never encourage any member to apply for credit when they don't need it. We "do" encourage gardening what you currently have for growth and maturity. I think the OP was just asking if having a savings account would increase an applicants chances of approval -- kinda like Chase bank does with its existing customers, for example.

OP, I also cannot answer that question as each lender have their own set of approval criteria. Perhaps a call to a CSR may or may not provide you with the answer you are seeking in the event no one in the forum have the answer.

Re: Getting into the AMEX family

Anonymous — Sun, 13 Mar 2011 16:05:06 GMT

Thanks for the replies everyone.

I may try giving AMEX a call to inquiry about a charge card. However, honestly I don't really anticipate that I would want to use an AMEX over my Discover More or US Bank card (1% cash back on everything, all the time). I just assume that eventually I'll want to be in the AMEX family and if I get in now it'll help in the AAoAs in the long run. My AAoA is taking a huge hit right now since I added a Chase Slate and Discover More in the past 6 months. Paying an annual fee to use a charge card doesn't sound appealing to me right now.

I might just hold off for half a year and then go for a credit card. At least then I should have no hard inquiries on my reports (unless my current lenders pull one without me knowing prior) and I should have a few thousand more paid off on some installment loans (student loans).

I do need at least one more savings account so I was looking at AMEX online accounts and was curious if that would help me get into the door. Any of you have general suggestions about online banks to use for savings accounts? Chase? AMEX? BoA? (sorry, I realize I'm drifting from credit cards, but I figure several of you have some opinions in this regard)

Re: Getting into the AMEX family

jefftca925 — Sun, 13 Mar 2011 16:20:57 GMT

American Express, Discover, and Capital One actually have some decent rates, by comparison, for savings accounts. Chase is horrid so I wouldn't even bother. I've had an ING account for 6 years or so and it has drifted from 5% down to 1%. They used to be great but not anymore. I'm thinking of moving my savings to Amex or Discover. I would leave some money in a brick and mortar bank though in case of emergencies. The online accounts can take up to 3 days to transfer funds.

Re: Getting into the AMEX family

Open123 — Sun, 13 Mar 2011 16:21:22 GMT

It can't hurt to have a savings account or CD with them when applying for the card, but the main criteria will be based more on how you rate on their internal scoring system.

In my view, if you don't plan on using the charge card now, you'd likely will be much better off applying when you are ready to use it since you'll have a longer history of on time payments and invariably higher credit limits.

Just remember to lower your utilization when applying and use the cards you currently have. From what I've gathered, Amex dislikes high balances and low usage.

Re: Getting into the AMEX family

Anonymous — Mon, 14 Mar 2011 13:15:05 GMT

@JayRizzo wrote:
Hmmmm, andyaycw, unless your first sentence was a typo -- we would never encourage any member to apply for credit when they don't need it. We "do" encourage gardening what you currently have for growth and maturity. I think the OP was just asking if having a savings account would increase an applicants chances of approval -- kinda like Chase bank does with its existing customers, for example.

He was saying the old adage that you have to apply for credit when you don't need it, because nobody will approve you when you do. It's true.

Apply for credit (as an emergency) when you don't need it, because once you max out that first card and decide it would be a good idea to get a couple more, your profile is looking risky and nobody is going to approve you for additional credit.

Re: Getting into the AMEX family

Anonymous — Tue, 15 Mar 2011 02:46:45 GMT

Do your parents have an AMEX account at all?

Maybe you can piggy-back one more time? I was added as an authorized user to my mom's account at 23. About the time I turned 24, a pre-approved offer came via snail mail from AMEX to get an account on my own. I then droped the AU on my mom's account and got myself what I feel is the smallest CL AMEX ever offered anyone ever, 500 bucks! I PIF everymonth and usually made 2, even 3 payments a month to focus as much spending as I can through that card and did large purchases on other cards. CL increases kept comming and if they didn't, I would call every 6 months as is their policy to get one. This card now has a CL over 30X what I started with! I guess my point is, AMEX takes time so you might as well start while you're young! If ever there was a card that grows with you, it would be AMEX.

Re: Getting into the AMEX family

Anonymous — Wed, 16 Mar 2011 23:40:37 GMT

Hey Katherine- Thanks for posting the info about the savings account. I'm pretty sure I'm on their blacklist and I have been stalking AMEX trying to get back into their CC graces. Based on your post, I went ahead and applied for their personal savings. My savings account is now all set up (after a phone call).

It may or may not help my case down the road for a CC app. Most likely, as others mentioned, the credit and banking departments are under completely different umbrellas and that is why I am not perma-BANNED from opening a banking account with them..

I will have an AMEX CC again before I die. Yes I will. I really want that backdated account since my closed, 11 year old Mortgage just fell off my report. Gotta preemie AAOA now.

Re: Getting into the AMEX family

tray — Thu, 17 Mar 2011 00:11:33 GMT

Have you tried the Amex pre-select card link to see if there are any offers for you, as for starters charge cards, this is how I started, I obtained a charge card, built a relationship with Amex waited and then app'd for a regular card with them. Good Luck P.S. I never opened a Amex Savings

Re: Getting into the AMEX family

Walt_K — Thu, 17 Mar 2011 13:04:29 GMT

@jefftca925 wrote:
American Express, Discover, and Capital One actually have some decent rates, by comparison, for savings accounts. Chase is horrid so I wouldn't even bother. I've had an ING account for 6 years or so and it has drifted from 5% down to 1%. They used to be great but not anymore. I'm thinking of moving my savings to Amex or Discover. I would leave some money in a brick and mortar bank though in case of emergencies. The online accounts can take up to 3 days to transfer funds.
I have an Amex Savings, but I couldn't tell you one way or the other how it affects their view of my credit applications. It probably doesn't affect it at all, but it can't hurt. And they offer a pretty decent rate, so you wouldn't be losing anything by opening one.

As for the transfer time, if I were to initiate a transfer today, it would probably take 3 days. But if I schedule one to occur on a specific date, I usually have the money that day. In other words, if I go online today and schedule a transfer for next Thursday, in my experience, the money will hit the transferee account on Thursday. Now, I haven't tried to schedule a transfer one day in advance. For example, I don't know whether I could have the money tomorrow if I scheduled a transfer today to take place tomorrow.